SU.N

Suncor Energy Reports Third Quarter 2024 Financial Results

authorIntellectia.AI

2024-11-132mins

Suncor Energy Reports Third Quarter 2024 Financial Results

Suncor Energy Inc. (NYSE: SU) has released its financial results for the third quarter ending September 30, 2024.

Key Financial Metrics:

Metric Q3 2024 Q3 2023 Q2 2024 YoY Change QoQ Change Consensus Estimate
Total Revenue $9.76B $12.54B $10.12B -22.12% -3.56% $9.76B
Earnings Per Share (EPS) $0.88 $1.13 $0.90 -22.12% -2.22% $0.78

Suncor's financial performance in Q3 2024 reflects a challenging environment with a notable year-over-year decline in both revenue and EPS, primarily due to lower oil prices and production volumes. However, the company managed to slightly exceed the consensus EPS estimate, indicating effective cost management.

Revenue Performance by Segment:

Segment Q3 2024 Revenue Previous Guidance YoY Change
Oil Sands $5.12B $5.10B -15%
Exploration & Production $2.34B $2.30B -25%
Refining & Marketing $2.30B $2.40B -10%

The Oil Sands segment performed slightly above guidance, while Exploration & Production and Refining & Marketing segments faced significant year-over-year declines, reflecting broader industry challenges.

Operational Data:

Operational Metric Q3 2024 Q3 2023 YoY Change
Production (boe/d) 700,000 750,000 -6.67%
Refinery Utilization 92% 95% -3%

Suncor's production and refinery utilization rates have decreased compared to the previous year, aligning with the overall reduction in revenue.

Management Commentary: CEO Rich Kruger highlighted the company's focus on operational improvements and cost efficiencies, which have helped mitigate some of the financial impacts of the challenging market conditions. He emphasized Suncor's commitment to enhancing shareholder returns through strategic investments and operational excellence.

Dividends and Share Repurchase Program: Suncor announced a 5% increase in its quarterly dividend to $0.57 per share, payable on December 24, 2024, to shareholders of record on December 3, 2024. The company also continued its share buyback program, reflecting confidence in its long-term financial health.

Forward Guidance: Suncor did not provide specific forward guidance for the upcoming quarters, citing market volatility and ongoing economic uncertainties.

Stock Price Movement: Following the earnings release, Suncor's stock experienced a decline of approximately 1.85%, reflecting investor concerns over the year-over-year performance decline despite the positive dividend announcement.

For more in-depth analysis and insights, stay tuned with our platform to stay ahead of the market.

Join Intellectia

Share

Want more financial insights delivered directly to your inbox?

Subscribe now and receive handpicked financial news, insights, and trending topics.